The bill amends Chapter 31-5.1 of the General Laws, which regulates business practices among motor vehicle manufacturers, distributors, and dealers. A significant addition is the new section on dealership survivorship, allowing designated family members of deceased or incapacitated dealership owners to inherit ownership, provided they meet specific criteria and notify the relevant parties within 120 days. The bill also outlines the process for manufacturers, distributors, or factory branches to refuse succession, requiring them to give notice and grounds for refusal within 60 days.

Additionally, the bill establishes new requirements for the establishment and relocation of dealerships, mandating that manufacturers, distributors, or factory branches provide written notifications and a hearing process if protests arise. It enhances the regulatory framework by ensuring fair compensation for dealers during recall repairs, requiring manufacturers, distributors, or factory branches to pay for parts and labor at retail rates, and prohibiting burdensome methods for establishing these rates.

The legislation sets clear timelines for claim approvals, automatically deeming claims approved if not addressed within thirty days. It mandates compensation for dealers holding used vehicles under safety or emissions recalls when parts are unavailable and clarifies liability for damages during vehicle transportation. Furthermore, it specifies that manufacturers, distributors, or factory branches must fulfill warranty obligations and outlines the obligations during recalls, including compensation for labor and parts required for repairs. Overall, the bill aims to create a more equitable and transparent environment for motor vehicle dealers while ensuring compliance with recall and warranty obligations.